had few reasons to fall but why did Banknifty
fall so much? In my opinion one reason could be hiking the deposit insurance
from 1 lakh to 5 lakhs. Please read this post along with post on Nifty
to get complete perspective. I think Banknifty
too like Nifty
can bounce back tomorrow if Asian markets are not opening too much in negative territory. Banknifty
too is out of Bollinger band
at 30.74 on daily chart
and hence should undergo some retracement. One significant drawback is that BNF closed way below its 200 DEMA
. So for long term, outlook for BNF is negative for sure but just for tomorrow and maybe day after I see some upmove in Banknifty
. So one can buy even at these levels if they are there in morning and book profit at around 30300.
All the best. Happy trading.